Social change marketing in the age of direct benefit marketing – where to from here?

Slide 2: Social change marketing in the age of direct benefit marketing – where to from here? Dr Stephen Dann AMPR, QUT

Slide 3: Social Change Marketing Setting the table: Defining the parameters of Social Marketing

Slide 4: Social Marketing Defined • Social marketing is the design, implementation, and control of programs calculated to influence the acceptability of product planning, pricing, communication, distribution and marketing research. – (Kotler and Zaltman, 1971) • \"the application of commercial marketing technologies to the analysis, planning, execution, and evaluation of programs designed to influence the voluntary behaviour of target audiences in order to improve their personal welfare and that of their society.“ – (Andreasen, 1995) • “the use of marketing principles and techniques to influence a target audience to voluntarily accept, reject, modify, or abandon a behaviour for the benefit of individuals, groups or society as a whole.” – Kotler, Roberto and Lee (2002)

Slide 5: Social versus Commercial Social Marketers Commercial Marketers Want to do good Want to make money Funded by taxes and donations Funded by investments Publicly accountable Privately accountable to shareholders hard to measure due to uncertain outcomes easily measured Long term behavioural goal Short term behavioural goal Often targets controversial behaviours Targets non-controversial behaviours, Often choose high-risk, hard to reach targets Choose most accessible low risk target Risk-averse management Risk-accepting management Participative decision marketing Hierarchical decision making Relationships based on trust Relationships based on competition Decisions influenced by political imperatives Decisions made on ROI or profit imperative Uncertain benefits from products Clearly definable benefits from products Unrealistic marketshare expectations Smaller Acceptable marketshares (eg 35%)

Slide 6: Commercial Marketing Redefined • [Marketing is] an organizational function and a set of processes for creating, communicating and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders. (AMA 2004).

Slide 7: The Change • Summary of the Changes – Function and Process – Create, Communicate and Deliver Value – Managing the relationship – Direct Benefits to Organisation & Stakeholder – The End of Exchange

Slide 8: The Impact Social Marketing 2002 Social Marketing 1995 Marketing2004 Method the use of marketing application of organisational function principles and commercial marketing and a set of processes techniques techniques Process n/a analysis, planning creating, communicating execution and evaluation and delivering value of programs Payload to influence a target influence voluntary delivering value to audience to voluntarily behaviour of target customers, managing accept, reject, modify, or audiences customer relationships abandon a behaviour Outcome for the benefit of to improve [target benefit the organisation individuals, groups or audiences’ member's] and its stakeholders society as a whole personal welfare and that of their society

Slide 9: Outcome: Personal / Societal Welfare versus Organisational /Stakeholder Benefit • ….influence the voluntary behaviour of target audiences in order to improve their personal welfare and that of their society.\" (Andreasen, 1995) • “…for the benefit of individuals, groups or society as a whole.” (Kotler 2002). • …for managing customer relationships in ways that benefit the organization and its stakeholders. (AMA 2004).

Slide 10: Outcome Conflict • primary aim of social marketing is individual and societal gain. – Andreasen (1995) – Kotler, Roberto and Lee (2002) • Direct benefit to an organisation undertaking a social change activity has historically been recognised as societal marketing

Slide 11: Fundamental Mismatch • Under the 1985 definition of commercial marketing, “return” is the \"exchanges that satisfy individual and organisational objectives, allowing social marketing to deliver improved welfare (individual objective) through behavioural change (organisational objective)”. • Individual and societal improvements are not direct benefits to the organisation, even where the social changes meet the organisational goals • social marketing does not currently purport to accept direct benefit to the social change campaigner as a measure of social marketing

Slide 12: Where to from here? • Overthrow the new definition – Alliance of Kotler, Andreasen and Macromarketing • Adapt to direct benefit – Absorb societal marketing into the ranks – Allow for-profit incursions into social change • Renegade Marketing – Set a new definition of social marketing that does not draw on the AMA’s commercial marketing definition